Low-vol gold rush points to further upside


As the ultimate safe haven, gold prices sitting at all-time highs can often be indicative of widespread panic. Yet the options market tells a different story, with the metal’s 43% year-to-date gains coming on surprisingly low volatility, suggesting investors are building positions without a disorderly scramble and there may be more upside to come.

Spot gold hit $3,788 on Tuesday, after adding more than 11% over the past month.

While volatility initially spiked in response to US president Donald

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Central BanksGammaGoldLowvolOptionsOut-of-the-moneypointsrushSkewTradingupsideVolatilityVolatility skew
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